HC Deb 08 March 1971 vol 813 cc27-8
33. Mr. Boyd-Carpenter

asked the Secretary of State for Trade and Industry what reduction in the amount owed by Upper Clyde Shipbuilders to Her Majesty's Government will result from the writing-down of the capital of this company to which he has agreed.

Mr. John Davies

Details of the inended capital reconstruction have not yet been worked out.

Mr. Boyd-Carpenter

Can my right hon. Friend say whether, when the former Government advanced this money, proper security was obtained for it, and whether my right hon. Friend, if he sees fit to advance any further sums, will follow the advice of the Public Accounts Committee and obtain proper security?

Mr. Davies

I have no intention whatever of advancing further sums to Upper Clyde Shipbuilders. As to the former Administration, it is interesting to note that under a variety of guises they managed to put over£20 million into the hands of that organisation. [HON. MEMBERS: "Reading."] I am not reading. [HON. MEMBERS: "The right hon. Gentleman is reading."]

Mr. Speaker

Order. I have heard all these shouts of "Reading". It is well known that Ministers are entitled to read their answers.

Mr. Davies

Thank you, Mr. Speaker. In fact the former Administration—

Dame Patricia Horsnby-Smith

On a point of order, Mr. Speaker. It was quite impossible for hon. Members on this side of the House to hear my right hon. Friend's reply. May we have your permission to hear it again?

Mr. Speaker

Yes.

Mr. Davies

I was saying that the present Administration have no intention of advancing further money to Upper Clyde Shipbuilders. The last Administration in a variety of guises advanced sums in excess of£20 million, virtually all of which have been lost.

Mr. Millan

As it is nearly four weeks since we had the last statement in the House, and as the continued success and survival of U.C.S. depends upon capital reconstruction, can the right hon. Gentleman say when we shall have details, because the delay is very worrying?

Mr. Davies

I am pressing the company to put forward its proposals. The hon. Gentleman realises, of course, that it is for the company to make proposals to the Government, and not vice versa, in this case. I am pressing the company and I hope, as the hon. Gentleman does, to get this matter well and quickly settled.